Oil Prices Up as US Oil Inventories Fall

Oil gained ground on Wednesday on the back of a weaker dollar, a decline in US crude oil inventories and as Britain approved another coronavirus vaccine, but both benchmark contracts were set to end the year about 20% lower. Brent crude futures rose 45 cents to $51.54 a barrel, having started the year above $66, CNBC reported.
US West Texas Intermediate crude added 39 cents to trade at $48.39, down from around $62 at the beginning of 2020. Continued concern about coronavirus-related restrictions weighing on fuel demand were countered by some bullish factors.
The dollar hit its lowest against a basket of currencies since 2018, making oil cheaper for holders of other currencies.
Raising hopes of a faster normalization of travel and work, Britain on Wednesday became the first country to approve a coronavirus vaccine developed by Oxford University and AstraZeneca.
Asian shares hit a record high with investors betting on a strong economic recovery next year, with little sign of policymakers winding back massive stimulus efforts and the United States on the brink of agreeing a new package.
US crude oil stockpiles fell 4.8 million barrels last week to about 492.9 million barrels, exceeding analysts’ expectations in a Reuters poll for a draw of 2.6 million barrels, data from API showed.